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Developing countries as a group stand to gain very substantially from trade reform in agricultural commodities. Agricultural Trade Liberalization and the Least Developed Countries is the first book to address important questions relating to this subject. The authors are world renowned experts on international trade and development and they address a very important and timely issue.
Annotation This collection highlights the main trade issues of importance to different regions of the world.
Global trade liberalization-- reducing both negative and positive protection in line with the Dunkel proposal-- would gain developing countries an estimated $60 billion a year.
This book brings empirical analysis to bear on the policy debate on the economic and environmental impacts of agricultural trade liberalisation on a small developing country, represented by the island of Fiji. It is timely because many African, Caribbean and Pacific (ACP) countries are faced with challenges in the years ahead as a result of globalisation and liberalisation of world trade. Some ACP countries, including Fiji, have already signed an interim Economic Partnership Agreement (EPA) with the European Union to replace the Cotonou Agreement. Other future changes in the trading regime are likely to come from the eventual conclusion of the Doha Round. What is lacking in the current debate is solid empirical analysis to investigate the impacts of these policy changes. What little analysis has been carried out lumps developing countries into regional aggregates. Thus, it may be argued that these studies do not take account of the individual countries' circumstances. The book focuses on the sugar industry to discuss the broad topic of agricultural reform. Quantitative and qualitative methods are used to support the analysis and discussion in the areas of structural reform in the sugar and other industries as well as the effects of trade liberalisation strategies. The empirical investigation is carried out using appropriate econometric techniques and a dynamic computable general equilibrium model. The material is presented in such a way that the non-technical reader will also benefit from the discussion, which has policy making as its focus. It should appeal to a wide readership including policymakers, policy analysts, researchers in industry and the public sector, as well as postgraduate students in various fields such as agriculture and natural resources, international trade, and economic modelling.
Agricultural trade liberalization has been resisted by many developing-country policymakers, including those in the Middle East and North Africa, for fear it could hurt domestic farmers and exacerbate poverty. The authors of Trade Liberalization and Poverty in the Middle East and North Africa argue, however, that this concern about liberalization might be misplaced. Drawing on case studies from Egypt, Morocco, Syria, and Tunisia, the study uses household survey data and computable general equilibrium models to simulate the effects of various liberalization scenarios on different types of households in these countries, especially poor households. The results indicate that agricultural trade barriers are not an effective means of protecting the poor and that the benefits from many forms of agricultural trade liberalization to the region's consumers outweigh the costs to producers. If complemented with other domestic programs-including agricultural research and extension, information services, disease control, and social safety nets-the reforms have the potential to reduce poverty in these nations. The study findings are a valuable resource for policymakers and development specialists evaluating the role trade liberalization can play in economic development and poverty reduction.
In the ongoing Doha Development Round of World Trade Organization negotiations, developing countries have had much greater leverage, due at least in part to their large and growing share of world trade. But will the increased influence of developing countries translate into a final agreement that is truly more development-friendly? What would be key ingredients in such a final outcome of the negotiations, and what would the developing countries really get out of it. This two volume set seeks to answer these questions. This volume (Volume 2) addresses the question of how a development-friendly outcome to the talks would affect developing countries by quantifying the impact of multilateral trade reform. It presents several different approaches to modeling the effects of the outcome of negotiations, and then investigates why these (and other) modeling efforts produce such divergent results. Volume 1 is issues-oriented. It takes up some key questions in the negotiations, setting the stage with a historical overview of the Doha Development Agenda to help identify issues of most significance to developing countries, and then explores select issues in greater depth. Aimed at policymakers and stakeholders, this two-volume effort puts into the public domain important analytical work that will improve the chance for a pro-development outcomes of the Doha round negotiations.
Computable general equilibrium (CGE) analysis has been widely used to study the economic effects of trade liberalisation initiatives. The paper reports on the possibility of extending the use of this methodology to explore the link between trade and development. It focuses on the impact of trade liberalisation measures on income distribution. The paper reviews studies of agricultural trade liberalisation within the Asia Pacific Economic Cooperation (APEC) region, but it is suggested that the approach may have a wider application.